Army awards $171M contract to Great Lakes Dredge & Dock for heavy civil engineering construction
Contract Overview
Contract Amount: $171,153,928 ($171.2M)
Contractor: Great Lakes Dredge & Dock CO, LLC
Awarding Agency: Department of Defense
Start Date: 2021-10-01
End Date: 2024-05-23
Contract Duration: 965 days
Daily Burn Rate: $177.4K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 3
Pricing Type: FIRM FIXED PRICE
Sector: Construction
Official Description: DREDGING - NEW WORK,
Place of Performance
Location: CORPUS CHRISTI, NUECES County, TEXAS, 78413
State: Texas Government Spending
Plain-Language Summary
Department of Defense obligated $171.2 million to GREAT LAKES DREDGE & DOCK CO, LLC for work described as: DREDGING - NEW WORK, Key points: 1. The contract value of $171.15M is significant for heavy civil engineering. 2. Great Lakes Dredge & Dock Co, LLC is the sole awardee, raising questions about competition. 3. The contract duration of 965 days suggests a substantial, long-term project. 4. The 'Other Heavy and Civil Engineering Construction' sector is critical for infrastructure development.
Value Assessment
Rating: fair
The award amount of $171.15M appears substantial for this type of construction. Benchmarking against similar large-scale dredging and civil engineering projects would be necessary to fully assess its value.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a competitive bidding process. However, the single awardee, Great Lakes Dredge & Dock Co, LLC, warrants further investigation into the bidding landscape and the specific reasons for a single award.
Taxpayer Impact: The competitive nature of the award aims to secure fair pricing, but the final taxpayer impact depends on the efficiency and cost-effectiveness of the awarded contract over its duration.
Public Impact
Infrastructure development: This contract likely supports critical infrastructure projects, potentially impacting navigation, flood control, or coastal resilience. Economic impact: The project will create jobs and stimulate economic activity in Texas and potentially surrounding regions. Environmental considerations: Dredging projects often have environmental implications, requiring careful management and monitoring to mitigate impacts.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Sole awardee despite full and open competition.
- Lack of small business participation noted.
Positive Signals
- Awarded under full and open competition.
- Firm fixed price contract provides cost certainty.
Sector Analysis
This contract falls within the 'Other Heavy and Civil Engineering Construction' sector, which includes large-scale infrastructure projects like dredging, dams, and highways. Spending in this sector is often cyclical and tied to government infrastructure initiatives.
Small Business Impact
The data indicates that small businesses were not involved in this contract (ss: false, sb: false). Further analysis is needed to understand if opportunities were missed for small business participation in this significant construction award.
Oversight & Accountability
The award under 'full and open competition' suggests adherence to procurement regulations. However, the single awardee warrants oversight to ensure the process was truly competitive and that the selected contractor is performing effectively and efficiently.
Related Government Programs
- Other Heavy and Civil Engineering Construction
- Department of Defense Contracting
- Department of the Army Programs
Risk Flags
- Potential lack of robust competition despite 'full and open' designation.
- No indication of small business participation.
- Long contract duration (965 days) increases risk of cost overruns or scope creep.
- Firm Fixed Price contract can lead to contractor risk if unforeseen issues arise.
Tags
other-heavy-and-civil-engineering-constr, department-of-defense, tx, definitive-contract, 100m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $171.2 million to GREAT LAKES DREDGE & DOCK CO, LLC. DREDGING - NEW WORK,
Who is the contractor on this award?
The obligated recipient is GREAT LAKES DREDGE & DOCK CO, LLC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Army).
What is the total obligated amount?
The obligated amount is $171.2 million.
What is the period of performance?
Start: 2021-10-01. End: 2024-05-23.
What specific dredging or civil engineering work is being performed under this contract, and how does it align with the Department of the Army's strategic objectives?
The contract is for 'DREDGING - NEW WORK'. This typically involves removing sediment and debris from waterways to maintain or improve navigability, deepen channels, or support coastal protection projects. Its alignment with Army objectives would depend on whether it supports military logistics, port operations, or disaster preparedness and response missions.
Given the 'full and open competition' designation, why was there only one awardee, and were there any debriefings provided to unsuccessful bidders?
While designated 'full and open', a single awardee can occur if only one bidder meets all requirements, or if the evaluation criteria heavily favored one proposal. The lack of transparency on unsuccessful bidders and debriefings makes it difficult to assess the true competitiveness. Further inquiry into the solicitation's evaluation factors and bidder pool is warranted.
What are the key performance indicators (KPIs) for this contract, and how will the Army ensure the contractor delivers the required dredging work effectively and within budget?
Key performance indicators would likely include adherence to dredging specifications, environmental compliance, project timelines, and quality of work. The Army's oversight would involve regular progress reviews, site inspections, and potentially independent verification of work completed. The firm fixed price nature provides a baseline for budget control, but change orders could impact the final cost.
Industry Classification
NAICS: Construction › Other Heavy and Civil Engineering Construction › Other Heavy and Civil Engineering Construction
Product/Service Code: CONSTRUCT OF STRUCTURES/FACILITIES › CONSTRUCTION OF BUILDINGS
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: SEALED BID
Solicitation ID: W912HY21B0001
Offers Received: 3
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: Great Lakes Dredge & Dock Corporation
Address: 9811 KATY FWY STE 1200, HOUSTON, TX, 77024
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $172,386,736
Exercised Options: $171,153,928
Current Obligation: $171,153,928
Actual Outlays: $42,997,392
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES PROCEDURES NOT USED
Cost or Pricing Data: NO
Timeline
Start Date: 2021-10-01
Current End Date: 2024-05-23
Potential End Date: 2024-05-23 00:00:00
Last Modified: 2025-07-23
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